Goodwill and Intangible Assets

12 Months Ended

Mar. 31, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

4. Goodwill and Intangible Assets

Goodwill

The following is a summary of goodwill activity:

Balance at January 31, 2014	$	494,700

Balance at March 31, 2014	$	494,700

Acquisition of AKM		83,943
Acquisition of SCHC		922,734
Acquisition of BCHC		398,467
Acquisition of HCHHA		268,989

Balance at March 31, 2015	$	2,168,833

Intangible Assets, Net

Intangible assets, net consisted of the following:

	Weighted- average life (Yrs.)		Balance at January 31, 2014		Additions		Balance at March 31, 2014		Additions			Balance at March 31, 2015
Indefinite -lived assets:
Medicare license			$	-	$	-	$	-	$	704,000	$	704,000

Amortized intangible assets:
Exclusivity		4		40,000		-		40,000		-		40,000
Non-compete		4		28,400		-		28,400		157,000		185,400
Payor relationships		5		-		-		-		107,000		107,000
Network relationships		5		-		-		-		220,000		220,000
Trade name		5		-		-		-		257,000		257,000
Totals				68,400		-		68,400		1,445,000		1,513,400

Accumulated amortization				(5,973)		(2,800)		(8,773)		(127,370)		(136,143)

Total intangibles, net			$	62,427	$	(2,800)	$	59,627	$	1,317,630	$	1,377,257

Included in depreciation and amortization on the consolidated statements of operations is amortization expense of $127,371, $2,800 and $5,973 for the year ended March 31, 2015, two months ended March 31, 2014 and year ended January 31, 2014, respectively.

Future amortization expense is estimated to be as follows for each for the five years ending March 31 thereafter:

2016	$	186,167
2017		185,001
2018		146,537
2019		114,658
2020		40,894
Total	$	673,257

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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